SOUTH AFRICAN RUGBY UNION ANNUAL REPORT 2013 REPORT UNION ANNUAL SOUTH AFRICAN RUGBY SOUTH AFRICAN RUGBY UNION ANNUAL REPORT www.sarugby.co.za 2013 SOUTH AFRICAN RUGBY UNION ANNUAL REPORT 2013 CONTENTS SARU Sponsors 02 President’s Message 04 CEO’s Report 05 Integrated Report 10 Audit & Risk Committee 36 Operations & Finance 40 Financial Statements 42 High Performance 84 Development 98 Referees 104 Commercial Marketing 110 Corporate Affairs 116 Human Resources 122 Images supplied by Gallo Images ANNUAL REPORT 2013 | SOUTH AFRICAN RUGBY UNION | 01 02 | SOUTH AFRICAN RUGBY UNION | ANNUAL REPORT 2013 SARU SPONSORS TIER 1 SPONSORS ASSOCIATE SPONSORS OFFICIAL SUPPLIERS SARU ENDORSED TOURNAMENT SPONSORS TOURNAMENT ASSOCIATE SPONSORS ANNUAL REPORT 2013 | SOUTH AFRICAN RUGBY UNION | 03 PRESIDENT’S REPORT o borrow from the language of At an administrative level the dominant issue of the year remained South Africa’s the sports coach, 2013 was very unique challenge of accommodating six much a game of two halves or, franchise regions when we have only five places in Vodacom Super Rugby. That more accurately, a year of two issue has been resolved post-2015 as our contrasting streams. On-the-field there was representatives secured agreement from T our SANZAR partners that a sixth South a definite sense that the playing fortunes of African team was a “non-negotiable” and will be a part of any new broadcast deal. the Springboks, Junior Springboks, Sevens That left the 2014 and 2015 seasons to navigate to the greatest possible and Women’s teams remained on an up- advantage in challenging circumstances. ward curve. Off it, however, both SARU and The Executive Council made proposals to remedy that situation by enlarging the its members were confronted by mount- Absa Currie Cup Premier Division to eight teams and ensuring the participation of ing financial challenges. Our sport was not all six franchises in that competition for immune from the after-effects of the global both seasons. Ultimately that outcome was reached through the General Council, financial crisis as the disposable income of although it was only confirmed early in 2014. supporters was squeezed and corporate On the field however, the picture supporters found their own budgets remained almost unremittingly bright with no team making greater strides under pressure. than those achieved by the Springboks 04 | SOUTH AFRICAN RUGBY UNION | ANNUAL REPORT 2013 themselves. Heyneke Meyer’s second season That victory was charged with emotion as it came in the week in charge saw a ‘new’ Springbok team begin in which we saw the passing of the first President of a demo- PRESIDENT’S REPORT to emerge and by year end we could reflect cratic South Africa, Nelson Rolihlahla Mandela. It was a loss felt on the Springboks’ finest season in statistical not only by South Africa but by the world – a measure of how terms since the Tri-Nations winning season of many lives he had touched and how significant was his impact 1998 when 11 of 12 tests were won. Meyer’s not just on politics but on humanity. We were all unbelievably Boks won 10 out of 12 in 2013 – losing only privileged to have shared our country and this era with him – his to a very impressive New Zealand combi- name will live for evermore. South Africa and our sport owed nation – but it was as much the way they him a great debt; thank you Tata for being the Springboks’ friend played that signalled the arrival of a new era. and inspiration. They scored a sumptuous 47 tries, enjoyed a The depth of SA rugby is the envy of many nations and second successive unbeaten European tour; that was exemplified by the performance of the SA President’s enjoyed their biggest ever win in Australia XV in the IRB’s Tbilisi Cup. They were pitched against World and their first in Brisbane since 1971 and also Cup finalists Georgia and Uruguay as well as an Emerging Ire- our biggest win over Argentina (73-13). land team. The President’s XV, made up largely of players from The U20s blooded exciting new talents for the Steval Pumas, beat all three of their opponents to claim the future during the Junior World Championship in France. Players such as Justin Geduld, Seabelo The depth of SA rugby is the envy of many nations Senatla and Cheslin Kolbe produced and that was exemplified by the performance of the dazzling performances in the back- line – before heading off to Mos- SA President’s XV in the IRB’s Tbilisi Cup. They were cow for the Sevens Rugby World Cup – while Jacques du Plessis and pitched against World Cup finalists Georgia and others made an impression among Uruguay as well as an Emerging Ireland team. the forwards. The Junior Spring- boks beat the eventual champions, England, in the group stages only to fall to a the title in the Georgian capital to emulate the success of the final-movement try by Wales in the semi- SA Kings XV, which won the IRB Nations Cup title in Romania in final. However, the tournament ended on a 2011. high note when New Zealand were beaten Women’s Rugby in South Africa is only a decade old but sig- (41-34) for the second successive season, nificant structural progress was made in 2013 with the establish- after the Junior Boks had trailed 21-0 after ment of a training base for the Sevens squad in Port Elizabeth half an hour. and the involvement of the HP department in their preparation. In mid-year we also decided to take a The plan bore fruit in September when the XV-a-side team new direction with our Sevens programme. recorded a record victory, beating Uganda 63-3, to reach the The time came to part ways with our Sevens Women’s Rugby World Cup finals. coach, Paul Treu, ending a 15-year involve- Our national teams will compete in men’s and women’s ment with Springbok Sevens as a player, Rugby World Cups and two Junior World Championships in the captain and coach. Paul’s contribution to 2014 and 2015 seasons. There are obviously no guarantees but Sevens rugby in this country over that period the evidence was clearly laid out in 2013 that our teams will be was outstanding. The new coach, Neil Powell highly competitive whenever and wherever they appear. – also a former Sevens player and national captain – enjoyed early success by leading Oregan Hoskins the team to the Cell C Nelson Mandela Bay President Sevens title in Port Elizabeth in December. South African Rugby Union ANNUAL REPORT 2013 | SOUTH AFRICAN RUGBY UNION | 05 CEO’S REPORT he determination to continu- However, a review of 2013 would not be complete without acknowledging ally raise the bar within South the increasingly challenging financial environment in which the game oper- African rugby saw us reap a ates. A number of programmes and rich harvest in 2013 as a num- activities had to be re-engineered during the course of the year to remain within Tber of projects reached their full expres- a budget that had to be revised down- wards. The fact that the organisation sion. They will be part of our landscape managed to report a profit was due to for years to come and offer significant prudent financial management. There was an impact on a number of plans but benefits in terms of increasing the rug- operations were managed to continue without interruption. by-playing intellectual property (IP) of The organisation was able to report a South Africa and also in what SARU of- small operating profit in that very diffi- cult economic environment, with a group fers to its players and supporters. profit before taxation of R5.1 million for the year ended 31 December 2013. The after-tax profit was boosted to R11.1 mil- lion because of a write back of taxation charges of R6 million. However, the advances far out- weighed the interruptions in 2013 as we continued on our mission of making ourselves more relevant to our supporters and more useful to our rugby 06 | SOUTH AFRICAN RUGBY UNION | ANNUAL REPORT 2013 CEO’S REPORT The inaugural Cell C Community Cup proved to be a massive success with well attended matches all over playing members. analysis of overseas teams to assist the country and a One of the concerns for some time has those teams in their preparations – as fitting climax to the been the fact that SARU has not taken a well as tracking performances for our competition. GAP lead role in increasing the rugby-playing Springbok planning. Despatch (pictured) knowledge base of South Africa. We used The Mobi-unit’s work goes on through- won the title with a to take the view that that was the concern out the year – working with all our national penalty kick after of our members – the provincial unions teams, including the Sevens, Junior Boks and the final hooter in the who actually employ the coaches and the Women Springboks – as well as Heyneke final played in George, players. But, often, they would look to SARU Meyer’s team. The benefits have already beating Jonsson for leadership and resources in those same been felt and will only grow over coming College Rovers 26-24. areas and we have now begun to address years. In addition, the HP department de- those concerns. For the first time we have veloped bespoke software packages for use taken an active part in the elite coaching of in South African rugby. They are an analysis the game with SARU employees through the system called “Stratos” and an athlete man- deployment of our mobi-unit.